I have a new NFT opportunity to tell you about.
It’s a project called Orbital that’s a spin-off from two successful, if under-the-radar NFTs—Droid Capital and Revenue Rebels.
The new project they are creating is a revenue-share NFT run by the founders of those two projects—iAmDroid, at Droid Capital, and Stoizy, at Revenue Rebels.
I want to stress here that this project is the brainchild of community members who own Droid and Revenue Rebel NFTs. They urged the two founders to pair up because of their similar styles, and because of the individual successes they’ve had running their separate projects.
That, I think, says pretty much everything about the legitimacy of Orbital.
Those pushing for its creation are existing NFT holders who have been a part of each community for months, who have seen how the two founders have performed in running their respective businesses, and who think pairing both founders’ strengths will lead to an even better revenue-generating NFT.
I mean, when community members are driving a project’s creation, rather than a team looking for ways to gin up more cash, then you’ve probably tapped into something promising.
The Founders of Orbital
First, NFTs, I’m sure you’re aware, are non-fungible tokens. These are one-off, one-of-a-kind cryptocurrencies that represent ownership of a digital asset. (Before investing in NFTs, I’d advise that you check out the two NFT reports I’ve prepared as part of Frontier Fortunes, if you haven’t already done so. These are: How to Invest in NFTs and The Frontier Fortunes Guide to NFT Wallets.)
Orbital is a mashup of the successful, but different investment strategies of Droid Capital and Revenue Rebels.
Both use an organizational structure called a DAO, or decentralization autonomous organization. DAOs are collectively owned communities powered by crypto technology in which token holders participate in the management and decision-making of the community and can control the DAO’s treasury and collect rewards. Think of DAOs like the crypto version of a homeowners association.
Droid Capital is an Australia-based, investment-focused NFT project that operates a lot like a traditional venture capital fund. The Droid DAO invests in pre-public equity, token opportunities, as well as NFT pre-sale rounds. The aim is to increase the U.S. Dollar Coin (USDC) value of the assets held by the DAO, while growing the utility provided by the project’s $DROID token. (USDC is a stablecoin that tightly shadows the U.S. dollar, meaning it aims to remain stable at $1).
Droid’s founder, iAmDroid, is a financial professional in Australia with more than a decade of experience in portfolio strategy and complex asset valuations. The rest of the Droid team is packed with financial experts, including a chartered accountant who founded and runs an investment-management firm, and a trader with 30 years of experience and who served as managing director for a London investment bank.
Droid Capital launched last June at 3 Solana, and the floor price today is north of 11 SOL. Its founders don’t take wages or fees—they hold Droid NFTs instead. Since the mint, the team has grown the DAO treasury to $500,000 from $390,000, even as SOL has plunged in price, which tells you how successful they’ve been.
Their biggest move recently: Selling out of SOL in the $30s before the FTX fiasco, leaving the team with about $300,000 in USDC that they will deploy as the new bull market commences. (Note: Droid went through the time- and cost-consuming process of registering the DAO as a legal entity in Panama, so that it can legally invest without running afoul of securities laws.)
As for Revenue Rebels, it’s a North America-based project focused on acquiring ever more Solana. It does so by putting its DAO treasury to work buying and sitting on high-quality, revenue-generating NFTs. This isn’t a simple buy-and-hold strategy, however.
Stoizy, the founder, has a background as a professional poker player, and, thus, brings an analytical and statistical mindset to the project’s investment strategy.
He determines entry and exit points based on the yield certain NFT collections generate when compared to a known quantity: Degen Fat Cats, a wager-based NFT that operates the simplest of games—wagering a small bit of Solana on a digital coin flip. The project has a huge fanbase. Just in the week ended Jan. 19, DFC saw players wager nearly $4.2 million worth of Solana.
As such, Stoizy notes, Degen Fat Cats “is a representation of where the Solana market is at in terms of APR.” Meaning, Degen Fat Cats—a consistent, high-quality rev-share NFT—regularly gyrates between a 40% and 50% APR, and investors can use that as a benchmark against other revenue-share projects.
Overall, Stoizy has overseen the growth of a DAO that, if it were fully liquidated today, would return 2.5 to 2.7 SOL to each NFT owner. When the project minted, the DAO’s value was just over the NFT mint price of 0.66 SOL. (The floor price of the NFTs today has been bouncing around the 4.75 to 5.25 range.)
So, What Is Orbital?
Orbital will pair both strategies.
Stoizy will aim to increase the amount of SOL the DAO controls through his revenue-share investing acumen, while iAmDroid will bring in the same kind of venture capital-fund opportunities that has seen the Droid DAO expand.
Sixty-five percent of the income Orbital earns will go to Orbital NFT holders weekly.
Twenty-five percent will be re-invested in the pool of assets in order to continually grow the Orbital DAO—which means the investment returns for NFT holders should grow over time. (At some point after the project is up and running—meaning after the first month—the team will use some of this 25% to buy-and-burn Orbital NFTs off the floor, thereby progressively increasing the amount of income each remaining NFT collects.)
The other 10% will be split by the Droid and Revenue Rebel DAOs, which means increasing revenue share for the owners of those precursor NFT projects as well.
Thing is, because this project stems from the efforts of members from both communities, the opportunity to buy into Orbital is really focused on existing holders of Droid Capital and Revenue Rebel NFTs. They will have the opportunity to buy NFTs for the Solana equivalent of $75 each, and there’s no limit on how many each person can buy. For existing holders, the buying window, once it’s open, will remain open for several days.
The general public will have to spend $150. But two notes here: 1) There is no guarantee the public will have access, depending on how many Orbitals the existing community members buy, and 2) if the public is allowed in, they will have a limit on the number of Orbitals they can purchase (that number won’t be established until the team knows how much their two communities will invest).
So, there are a few ways to approach investing in Orbitals:
- Buy a Droid Capital NFT, which means spending about $250 for a floor model, and then spend $75 as many times as you wish to buy one or more Orbital NFTs.
- Buy a Revenue Rebel NFT, which means spending about $110 at the moment, and then spend $75 as many times as you wish to buy one or more Orbital NFTs.
- Spend $150 for each Orbital in the public offering, assuming it opens to the public.
If you only want one Orbital, then spending $150 in the public offering is the most cost-effective approach. But again, there is no guarantee these NFTs will be offered to the public.
I’ve put together the chart below to show you the most cost-effective strategies for owning more than one Orbital. If you want to own two or three NFTs, then buying a Revenue Rebel first will make more sense financially. At four and above, owning either a Revenue Rebel or a Droid Capital NFT means you will come out ahead of the public mint.
A month after the cash is raised—and the team knows how many people bought in—they will airdrop the Orbital NFTs.
As such, this is clearly not an NFT you buy to flip. There will be nothing to flip for several weeks.
This is an NFT you own because you want the income, and because you want to hold it as the project’s DAO grows in size financially. How much each Orbital NFT might generate is impossible to gauge, because the team has no idea how much cash it will raise or the investment opportunities it will find weeks from now.
The only certainty at this point is that you’re investing alongside two founders who have proven their mettle during the worst bear market Solana has faced. Their projects have not only survived, they’ve thrived and grown larger.
Moreover, you’re investing with the knowledge that the Droid and Revenue Rebels communities pushed for this project for a very good reason—they’re happy with the successes they’ve experienced in the two projects individually, and they specifically asked for this new, shared endeavor.
The offering for existing NFT holders will happen within the next 10 days to two weeks, after all the paperwork stuff is finalized. So, you have to time to research the communities and decide if this is a project you want to be part of.
Disclosure: I own both Droid Capital and Revenue Rebels. Both are staked, and I have zero intention of selling. (I also own two Degen Fat Cats.) Through my ownership of Droid/Revenue Rebels, I will be investing in Orbital.
If you want to research these on your own, here is the Discord link and Twitter link to Droid…and the Discord link and Twitter link to Revenue Rebels.
